Savings deposits, once a component of M2, were moved to M1 in 2020. M2 measures the money supply and includes cash, checking deposits, and other deposits readily convertible to cash, such as CDs.

The M1, M2, and M3 money supply are classifications of the U.S. money supply. M1 includes all of the money in circulation, such as physical coins and notes, as well as deposits held in checking ...